Modi govt's 1st anniversary: Decisive action needed feels industry

While few of the decisions of the PM Narendra Modi led government have been well appreciated but the expectations of bioscience industry seem to be much higher than what has been achieved during its first year


File Photo: PM Modi in a plant biotech lab in Australia. The industry was expecting the clear policy on GM crops which hasn't happened yet.

Seen as a silver lining in the dark clouds, the government's recent decision to allow FDI into two major Indian pharma firms is being seen as step to push indigenous manufacturing. The Cabinet Committee on Economic Affairs (CCEA), chaired by the Prime Minister, Mr Narendra Modi, on April, 07 approved qualified institutional buyers to infuse fresh equity of upto 7 percent amounting to about Rs 2165 crore into Aurobindo Pharma engaged in manufacturing generic pharmaceuticals and active pharma ingredients. Besides that $1 billion Glenmark Pharmaceutical's foreign investment limit by FIIs has been approved from 35.07 percent to 49 percent. This will result in an inflow of about Rs 2,022 crore. Apart from manufacturing pharmaceuticals, the company is also engaged in Research and Development activities in drugs.

Key associations praise govt's policies

"The government has exceeded our expectations and has achieved more in the first year than any other government has achieved in their first year. The government's emphasis on lower tax rates and introduction of GST in coming year will greatly enhance competitiveness of the Indian industry," said Mr Sumit Mazumder, president, Confederation of Indian Industries (CII).

As per Ms Jyotsna Suri, president, Federation of Indian Chambers of Commerce and Industry (FICCI), "We are highly encouraged by the series of actions and policy reforms taken by the government in the last one year. The government has been successful in improving the state of the economy and setting the foundation for long term higher growth and development. Several path-breaking measures have been announced, notably the introduction of social security net for all citizens, rationalisation of corporate tax rates and implementation of GST by April next year."

"Having taken several initiatives to unclog infrastructure projects and improve ease of doing business, Prime Minister Narendra Modi's government is expected to give increased attention to the rural economy, although several of the financial inclusion programmes like the Jan Dhan Yojana would help the countryside," remarked Mr Rana Kapoor, president, The Associated Chambers of Commerce of India (ASSOCHAM).


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